Picture Maya. She’s 38, works as a dental hygienist in Hamilton, and just opened her banking app on a Sunday night. Her TFSA (Tax-Free Savings Account) balance reads $22,000.
A few minutes earlier, she saw a social media post claiming every Canadian adult should have at least $109,000 in their account by now. Now she’s wondering if she’s hopelessly behind.
What a $109,000 TFSA balance means
Launched in 2009, the TFSA is among the most popular registered accounts in Canada. Anyone who was 18 or older and living in Canada in 2009, and who has never contributed, has $109,000 of total contribution room in 2026.
So how much do Canadians own in the TFSA?
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According to Canada Revenue Agency data, the average TFSA balance is just over $35,000.
Canadians in their 20s typically hold between $9,000 and $14,000. Those in their 60s average about $52,000 to $58,000. For senior retirees aged 80 and above, the TFSA average is around $76,000.
In plain terms, TFSA balances build slowly, over decades. Maya, at $22,000 in her late 30s, is walking the same path as most people. Lower TFSA balances may be due to higher mortgage payments, childcare costs, rising grocery bills, and inflation.
Notably, several Canadians use the TFSA as a savings account or emergency fund, with frequent withdrawals.
But here’s the good news. You don’t need to max out your room every year to get there.
Say Maya invests $300 a month and earns a 7% average annual return. A simple compound growth calculation shows she would cross $109,000 in about 16 years. At $500 a month, it takes about 12 years.
Either way, she gets there before she turns 55.
Own top TSX dividend stocks in the TFSA
Any returns generated from qualified investments in the TFSA are exempt from Canada Revenue Agency taxes. So, the TFSA is an ideal vehicle for owning quality TSX dividend stocks, as you can benefit from a steady passive income stream and long-term capital gains.
One such Canadian dividend stock is Fortis (TSX: FTS), which offers you a yield of 3.5% in September 2026.
Over the past 15 years, FTS stock has returned 190% to shareholders, after adjusting for dividends. Thus, a $10,000 investment in Fortis stock back in September 2011 would be worth close to $30,000 today.
The company owns regulated electric and gas utilities across Canada and the United States. Regulators approve the returns these businesses earn, which makes cash flow steady and predictable.
In the second quarter of 2026, Fortis earned $0.78 per share, up $0.02 from a year earlier. It invested $2.7 billion through June and remains on pace for $5.6 billion in capital spending this year.
Management expects its rate base to grow by an average of 7% a year through 2030, which should support future dividend hikes. Fortis has raised its dividend payout for 52 consecutive years. It’s also guiding for 4% to 6% annual dividend growth through 2030.
“We have demonstrated that we can grow our dividend responsibly, having increased it for the past 52 consecutive years while maintaining a disciplined approach to balance sheet strength,” CEO David Hutchens said on the call.
Why should Maya care? A dividend growing 5% a year roughly doubles in about 14 years, significantly boosting the yield.
No single stock should carry your whole TFSA. Pairing a steady dividend grower like Fortis with a broad Canadian index fund, and perhaps a large bank such as Royal Bank of Canada, spreads the risk while keeping income flowing.
The Foolish takeaway
Is a $109,000 TFSA realistic? Only if you have a long-term view, own a portfolio of quality stocks, and remain disciplined as an investor.
The investors who get there aren’t lucky. If Maya keeps going, her Sunday night cheque will look very different a decade from now. The hardest part isn’t saving. It’s knowing which stocks deserve a spot in your TFSA account.